Vegetable oils import up by 31% between Nov 2011 and April 2012

KOLKATA: The import of vegetable oils between November 2011 and April 2012 has shot up by 31% to 4,714,963 tons from 3,603,541 tons in the corresponding period of previous year (November 2010 and April 2011).

The import of vegetable oils during April 2012 is reported at 925,334 tons compared to 475,123 tons in April 2011, according to Solvent Extractors Association of India.

During Nov' 2011 to Apr' 2012, import of refined oil ( RBD Palmolein) is up by 89% to 919,507 tons compared to 487,090 tons during the same period last year. Share of refined oil has increased to 20%, while crude oil has decreased by 80% to 3,683,636 tons compared to 2,995,525 tons during corresponding period of previous year.

Share of RBD palmolein is likely to increase as current Indonesian inverted duty structure encourage larger export of refined oils (9% export duty) over crude oil (18% export duty) and also the gap between CPO and RBD palmolein has further reduced to just $20 which was $60 a year back.

During November 2011 - April 2012, palm oil import has increased to 3,473,981 tons compared to 2,697,219 tons during the same period last year. Overall soft oils import has increased to 1,129,162 tons compared to 785,396 tons last year.

Sunflower oil is a major contributor in meeting demand for soft oil, as sunflower oil prices have been attractive compared to soybean oil. Currently sunflower oil is cheaper to soybean oil by $25 per ton, which was expensive by over $105 per ton during the same period last year.

Also India has started importing canola oil and bought about 56,000 tons during last three months. The country had not imported any canola oil during the same period of last year.